McDonald Marina provides docking and cleaning services for pleasure boats at its marina in southern Florida The following account balances are available Accounts payable $ 26,300 Interest expense $ 238,000 Accounts receivable 268,500 Interest payable 16,000 Accumulated depreciation (building) 64,500 Land 877,000 Accumulated depreciation (equipment) 950,400 Rent expense 14,600 Bonds payable (due 2024) 2,000,000 Rent payable 2,500 Building 197,200 Retained earnings, 12 31 2018 152,500 Cash 22,200 Service revenue (cleaning) 472,200 Common stock (40,000 shares) 600,000 Service revenue (docking) 1,460,000 Depreciation expense (building) 21,500 Supplies 9,600 Depreciation expense (equipment) 246,500 Supplies expense 89,300 Dividends 25,500 Utilities expense 239,300 Equipment 2,510,000 Wages expense 985,100 Income taxes expense 21,600 Wages payable 21,500 Required 1 Prepare a single step income statement, a retained earnings statement, and a classified balance sheet for the year ended December 31, 2019 2 Conceptual Connection How would a multiple step income statement be different from the single step income statement you prepared for McDonald Marina Labels and Amount Descriptions Labels Current assets Current liabilities December 31, 2019 Expenses For the year ended December 31, 2019 Long term liabilities Property, plant, and equipment Revenues Stockholders equity Amount Descriptions Dividends Net income Net loss Retained earnings, December 31, 2019 Retained earnings, January 1, 2019 Total assets Total current assets Total current liabilities Total expenses Total liabilities Total liabilities and stockholders equity Total property, plant, and equipment Total service revenues Total stockholders equity Final Question A single step income statement and a multiple step income statement report (the same a different) amount for net income However, a (multi step single step) income statement only contains two categories These two categories are subtracted to arrive at net income Therefore, (one of many differences the only difference) between the two formats is (the dollar amount of the revenues and expenses reported how the revenues and expenses are classified)

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Posted on Jul 19, 2024

McDonald Marina provides docking and cleaning services for pleasure boats at its marina in southern Florida. The following account balances are available: Accounts payable $

McDonald Marina provides docking and cleaning services for pleasure boats at its marina in southern Florida. The following account balances are available:

Accounts payable	$ 26,300	Interest expense	$ 238,000
Accounts receivable	268,500	Interest payable	16,000
Accumulated depreciation (building)	64,500	Land	877,000
Accumulated depreciation (equipment)	950,400	Rent expense	14,600
Bonds payable (due 2024)	2,000,000	Rent payable	2,500
Building	197,200	Retained earnings, 12/31/2018	152,500
Cash	22,200	Service revenue (cleaning)	472,200
Common stock (40,000 shares)	600,000	Service revenue (docking)	1,460,000
Depreciation expense (building)	21,500	Supplies	9,600
Depreciation expense (equipment)	246,500	Supplies expense	89,300
Dividends	25,500	Utilities expense	239,300
Equipment	2,510,000	Wages expense	985,100
Income taxes expense	21,600	Wages payable	21,500

Required:

1.	Prepare a single-step income statement, a retained earnings statement, and a classified balance sheet for the year ended December 31, 2019.
2.	Conceptual Connection: How would a multiple-step income statement be different from the single-step income statement you prepared for McDonald Marina?

Labels and Amount Descriptions

Labels
Current assets
Current liabilities
December 31, 2019
Expenses
For the year ended December 31, 2019
Long-term liabilities
Property, plant, and equipment
Revenues
Stockholders equity
Amount Descriptions
Dividends
Net income
Net loss
Retained earnings, December 31, 2019
Retained earnings, January 1, 2019
Total assets
Total current assets
Total current liabilities
Total expenses
Total liabilities
Total liabilities and stockholders equity
Total property, plant, and equipment
Total service revenues
Total stockholders equity

Final Question

A single-step income statement and a multiple-step income statement report (the same/a different) amount for net income. However, a (multi-step/single step) income statement only contains two categories. These two categories are subtracted to arrive at net income. Therefore,(one of many differences/the only difference) between the two formats is (the dollar amount of the revenues and expenses reported/how the revenues and expenses are classified).